Retailer Esprit swings to loss as China, weak euro weigh

Reuters Staff

1 Min Read

HONG KONG (Reuters) - Clothing retailer Esprit Holdings Ltd (0330.HK) swung to a loss for the year ended June, weighed down by a slowdown in China and a weak euro, and said its retail sales area may shrink this year due to store closures or downsizing of unprofitable outlets.

Esprit reported a net loss of HK$3.70 billion ($477.45 million) for the year ended June 30, compared with a profit of HK$210 million a year earlier.

Turnover fell to HK$19.42 billion from HK$24.23 billion.

Esprit shares closed down 0.9 percent at HK$6.69 on Wednesday, compared with a 2.3 percent drop in the broader Hang Seng Index .HSI. Esprit shares have fallen 27.9 percent so far this year, compared with a 9.8 percent slide in the Hang Seng index.